Petrol prices in Lagos have surged from ₦860 to ₦930 per litre, forcing consumers to pay at least ₦70 more than they did a few days ago.
Similar increases have been recorded across Abuja and major northern cities, where a litre of petrol now costs between ₦950 and ₦970, up from ₦880 last week.
Several filling stations, including MRS Oil & Gas, Ardova Plc, Heyden, Matrix Energy, North-West Petroleum, Total Energies, Mobil, Bovas, and Enyo, have adjusted their prices.
These changes followed Dangote Petroleum Refinery’s recent decision to halt sales of petroleum products in Naira.
“This decision is necessary to avoid a mismatch between our sales proceeds and our crude oil purchase obligations, which are currently denominated in US dollars,” the refinery stated in March 2025.
The company explained that the Naira sales of its products had exceeded the value of Naira-denominated crude received from the Nigerian National Petroleum Company Limited (NNPCL). It assured that sales in Naira would resume once crude supplies in local currency were restored.
This move comes amid an ongoing price battle between Dangote Refinery and the NNPCL. In February, the $20bn facility, owned by billionaire industrialist Aliko Dangote, slashed its ex-depot petrol price from ₦890 to ₦825 per litre.
This led to petrol selling for ₦860 in Lagos, ₦870 in the South-West, ₦880 in the North, and ₦890 in the South-South and South-East. The refinery also reduced diesel prices.
READ ALSO: Inside the Dangote-NNPCL Battle: Who Will Dominate Nigeria’s Fuel Market?
NNPCL quickly responded by cutting its own retail price from ₦945 to ₦860 in Lagos, with similar reductions nationwide.
Analysts have welcomed the competition, saying it will “erode abnormal profit” margins, but independent marketers who rely on imports have decried losses from sudden price fluctuations.
In July 2024, the Federal Executive Council (FEC) directed the NNPCL to sell crude to Dangote Refinery and other local processors in Naira to ease pressure on the dollar and stabilise fuel prices.
The state-owned oil firm confirmed that its agreement with Dangote Refinery to supply Naira-priced crude expired in March 2025, but discussions were ongoing for a renewal.
Since October 2024, over 48 million barrels of crude oil have been supplied to Dangote Refinery under this arrangement, with a total of 84 million barrels delivered since its commissioning in May 2023.
Nigeria has long struggled with energy security, with its state-owned refineries remaining dormant for decades. The country depended on imported fuel, with NNPCL serving as the primary supplier.
The Port Harcourt Refinery recently resumed operations, but fuel shortages persist, and prices have quadrupled since the removal of subsidies in May 2023, worsening economic hardship.
Dangote Refinery, which began operations in December 2023 at 350,000 barrels per day, aims to reach its full capacity of 650,000 barrels per day by the end of 2025.